3/5/2008 10:49:00 AM Wykoff Regional Food Co-op members' support important to its success
By Gretchen Mensink Lovejoy
"It's been a rollercoaster ride, and today, we're at the point where we can hold our hands up and go over the hill," said rural Chatfield resident and board member Gail Lembke as she updated a gathering of prospective Wykoff Regional Food Cooperative members during a meeting held Saturday at the Wykoff Community Hall.
Wykoff's grocery store, Gleeson's Grocery, was at risk of closing until last April when a group of concerned residents proposed forming a cooperative to keep the business alive in Wykoff following Dan and Bev Gleeson's decision to close because of financial difficulties.
"At this time," continued Lembke, "we're working with the bank and attempting to take over the Gleesons' loan. There have been some obstacles, but we're still working hard. Only through your support can this succeed."
Board member Eva Barr gave a quick overview of the store's credit system, saying, "At this point, we can actually consider ordering food. We have inventory request forms available, and we need you to fill in what you'd like in as much detail as you possibly can. We're looking at several different suppliers to fill our whole foods orders in addition to the regular grocery items you'd find in the store. With a credit account, we're actually inviting you to give us money with which we will buy food. You can then consider that account your credit to buy what you want. We've raised $30,000, and though that's impressive, we're a little deficient in stocking funds."
Member Kerry Affeldt outlined the preliminary budget, noting that the "bare bones" figures were based on 100 member households spending $65 a week on groceries. "We need an average of $65 per household per week to make this run. Though there are some of you who say you don't spend $65 on groceries every week, there are families that make up for that. We'll have to have gross sales of $338,000 the first year, with $260,000 for the cost of goods. We've budgeted for a manager, an assistant manager and for repairs and maintenance."
The store's bread and butter income will be from its members at first - any budgeting was done based solely on member contributions and receipts, and some members elected to issue promissory notes to the board to fund startup costs - but any non-member receipts and tourist grocery purchases will supplement the co-op's income.
The co-op currently has approximately $26,600 of the initial $30,000 in its checking account. Affeldt added that the store's board has considered budgeting for a manager and two part-time assistant managers, but that she was "not sure how that would work."
Lembke elaborated on Affeldt's statement, commenting, "We also have volunteers to help stock and clean."
Following the update on the cooperative's progress, new members examined stock options and filled out inventory suggestion forms, then cast ballots for bylaws and the amended and restated articles of incorporation.
Membership fees were proposed at $35 per year with annual patronage refunds, a 5 percent discount if purchases exceed $250 per year, and a 10 percent discount on pre-ordered bulk items. "Class A common stock, one share at $35, would grant the owner annual patronage refunds, the right to share in dividends if declared, the right to vote on corporate policy and elect directors, and the right to maintain proportionate interest in ownership by purchasing a pro rata share of additional shares of stock if issued. Class B common stock may be purchased at $20 per share with the purchase of one share of Class A stock, and would provide dividends based on the number of shares held in this class," the membership guide stated.
The cooperative still needs interested persons to support business.
For more information, call (507) 867-2917, send an e-mail to Wykoffco-op@hotmail.com, or write to Wykoff Regional Food Cooperative, P.O. Box 44, Wykoff, MN 55990.
